The answer is Audit and DeployIfNotExists. This combination works because Audit evaluates existing storage accounts and logs which ones are non-compliant without blocking them, while DeployIfNotExists automatically triggers a remediation task to enable encryption on those flagged accounts, ensuring existing resources are brought into compliance without manual intervention. On the AZ-900 exam, this scenario tests your understanding of how Azure Policy effects differ in purpose—Audit for visibility and DeployIfNotExists for automated remediation—and it often appears as a trap where candidates mistakenly choose Deny, which only blocks new non-compliant resources. A useful memory tip is to think of Audit as the “spotlight” that finds the problem and DeployIfNotExists as the “fixer” that automatically applies the encryption, so you always need both to handle existing resources.
AZ-900 Describe Azure management and governance Practice Question
This AZ-900 practice question tests your understanding of describe azure management and governance. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A company uses Azure Policy to enforce encryption on storage accounts. They discover some existing storage accounts are non-compliant. They want to automatically enable encryption on these accounts without manual intervention. Which combination of policy effects should they use?
Correct. Audit reports non-compliance, and DeployIfNotExists automatically deploys a configuration (like enabling encryption) to bring the resource into compliance.
B
Deny and Audit
Why wrong: Incorrect. Deny blocks creation of non-compliant resources but does not remediate existing ones. Audit only reports non-compliance.
C
Append and Modify
Why wrong: Incorrect. Append and Modify are used for adding or altering properties (like tags) but cannot run a deployment or remediation action on existing resources.
D
Audit and Disabled
Why wrong: Incorrect. Disabled effect deactivates the policy, so it would not trigger any action. Audit alone only reports, not remediates.
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Audit and DeployIfNotExists
The correct combination is Audit and DeployIfNotExists. Audit logs non-compliant storage accounts without blocking them, while DeployIfNotExists automatically enables encryption on those accounts by deploying a remediation task. This ensures existing non-compliant resources are brought into compliance without manual intervention.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
✓
Audit and DeployIfNotExists
Why this is correct
Correct. Audit reports non-compliance, and DeployIfNotExists automatically deploys a configuration (like enabling encryption) to bring the resource into compliance.
Related concept
Read the scenario before looking for a memorised answer.
✗
Deny and Audit
Why it's wrong here
Incorrect. Deny blocks creation of non-compliant resources but does not remediate existing ones. Audit only reports non-compliance.
✗
Append and Modify
Why it's wrong here
Incorrect. Append and Modify are used for adding or altering properties (like tags) but cannot run a deployment or remediation action on existing resources.
✗
Audit and Disabled
Why it's wrong here
Incorrect. Disabled effect deactivates the policy, so it would not trigger any action. Audit alone only reports, not remediates.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates confuse Deny (which only blocks new non-compliant resources) with DeployIfNotExists (which remediates existing ones), or assume Append/Modify can retroactively fix existing resources when they only apply during resource creation or update.
Detailed technical explanation
How to think about this question
Under the hood, DeployIfNotExists uses a managed identity assigned to the policy assignment to run a remediation task via Azure Resource Manager. The remediation task calls the storage account's encryption API (e.g., PUT with properties.encryption.services.blob.enabled=true) to enable encryption on existing accounts. This effect is part of Azure Policy's 'Remediation' feature, which requires the policy definition to include a 'deployment' template specifying the exact ARM resource patch operation.
KKey Concepts to Remember
Read the scenario before looking for a memorised answer.
Find the constraint that changes the correct option.
Eliminate answers that are true in general but not in this case.
TExam Day Tips
→Watch for words such as best, first, most likely and least administrative effort.
→Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A media company stores terabytes of video archives that are accessed once a year for audit purposes. Moving these objects to a cold storage tier (Azure Archive, S3 Glacier, or Google Nearline) costs a fraction of hot storage. Questions like this test whether you understand storage tiers, access frequency tradeoffs, and retrieval latency requirements.
Related glossary terms
Concepts from this question explained
These glossary pages explain the core terms tested in this AZ-900 question in full detail.
Describe Azure management and governance — This question tests Describe Azure management and governance — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Audit and DeployIfNotExists — The correct combination is Audit and DeployIfNotExists. Audit logs non-compliant storage accounts without blocking them, while DeployIfNotExists automatically enables encryption on those accounts by deploying a remediation task. This ensures existing non-compliant resources are brought into compliance without manual intervention.
What should I do if I get this AZ-900 question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
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These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. A company uses Azure Policy to require encryption on storage accounts. They want to automatically deploy an encryption extension to any new storage account that does not have it enabled, without manual intervention. Which policy effect should they use?
hard
✓ A.DeployIfNotExists
B.Modify
C.Append
D.AuditIfNotExists
Why A: DeployIfNotExists is the correct effect because it evaluates resources after creation and automatically deploys a required configuration (like an encryption extension) if it is missing, without requiring manual intervention. This effect is specifically designed for scenarios where you need to remediate non-compliant resources by deploying a template or extension, ensuring encryption is enabled on all storage accounts.
Variation 2. A company wants to enforce that all Azure storage accounts must have encryption enabled. If a storage account is created without encryption, the policy should automatically enable encryption without manual intervention. Which Azure Policy effect should they use?
medium
✓ A.Modify
B.Deny
C.Audit
D.DeployIfNotExists
Why A: The Modify effect is correct because it can automatically enable encryption on a storage account that does not have it enabled, without requiring manual intervention. Unlike DeployIfNotExists, which only deploys resources if they don't exist, Modify can alter existing properties (like encryption settings) on the resource itself. This ensures compliance by remediating non-compliant resources in real time or during evaluation cycles.
Variation 3. A company wants to ensure that all new Azure storage accounts have a specific encryption setting enabled. They also want to automatically remediate any existing non-compliant storage accounts without manual effort. Which Azure Policy effect should they use?
medium
A.Append
B.AuditIfNotExists
✓ C.DeployIfNotExists
D.Deny
Why C: DeployIfNotExists is the correct effect because it not only evaluates the compliance of storage accounts against the encryption policy but also automatically deploys a remediation task (e.g., enabling encryption via a linked ARM template or Azure function) to bring non-compliant resources into compliance without manual intervention. This effect is specifically designed for scenarios where the resource itself needs to be modified or configured to meet the policy requirement.
Last reviewed: Jun 11, 2026
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